Global considerations in Operations managemnt

Question 1

Global outsourcing

Answer 1

the practice of seeking the most effecint materials and other inputs from countries overseas

Question 2

Overseas manufacturing

Answer 2

the production of a GS in a country that is differnt to the location of business headquarters

Question 3

Global Outsourcing

Answer 3

The contracting of a specific buinsess operations to an external person/ business in another country

Question 4

Advantages of Global sourcing

Answer 4

-reduced cost
-higher quality materials
-developing alternative suppliers

Question 5

Disadvantages Global sourcing

Answer 5

-long lead times

-high risks of interrupted supply

-harder to measure quality of goods

-language barriers

Question 6

Advantages of overseas manufacture

Answer 6

• cheaper manufacturing processes

-closer to supplier

-access to new markets

Question 7

Disadvantages of overseas manufacture

Answer 7

longer delivery times

high risks of damage during shipping

language barriers

harder to measure quality of outputs.

Question 8

Advantages of Global Outsourcing

Answer 8

-allows businesses to focus what they best at e.g designig

-Higher quality ( the overseas company ofte does one thing very well)

-Cheaper manufacturing process

Question 9

Disadvantages of global outsorcuing

Answer 9

-Harder to protect confidential info

-higher risks on intereupted supply

-Language barriers

-Harder to measure quality